02-11-2015, 02:52 AM
It's a great piece of news, but not anything that will rocket pps. They still have many things to get done and certification is the next biggest. I do think people missed how important this was for IOC. People have been saying if OSH wins it's neutral to good anyways because there would be quicker monetization, etc. I've pointed out before a clause that's in the SPA that to me suggests that it could have been quite bad for IOC if they lost. There is a clause in the Seller warranties that stated that IOC (Seller) warrants to Buyer (Total) that the SPA agreement does not violate any other agreements including any preemptive rights..... Or something like that. I think there was a good chance that Total could/would come back against IOC had OSH prevailed. Obviously not a lawyer, but that clause is in the SPA.
So with this hurdle out of the way they have many more steps in the process. Drilling news which confirms good/better/best estimates will likely see pps gradually move up over time. We just have to keep hanging in there as hard as that may be. Or sell, or buy more.......
It is funny seeing people think that all of a sudden there will be a buyout because of this ruling. I don't think so, again because of the things that have to happen yet to "prove" what's down there which gets us to the certification payment. MAYBE then we see a play, but I'm certainly not betting on that.
So with this hurdle out of the way they have many more steps in the process. Drilling news which confirms good/better/best estimates will likely see pps gradually move up over time. We just have to keep hanging in there as hard as that may be. Or sell, or buy more.......
It is funny seeing people think that all of a sudden there will be a buyout because of this ruling. I don't think so, again because of the things that have to happen yet to "prove" what's down there which gets us to the certification payment. MAYBE then we see a play, but I'm certainly not betting on that.